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I don't think there is much additional industrial demand, it is just speculation due to the state of world economies and governments not holding much trust thes

I don't think there is much additional industrial demand, it is just speculation due to the state of world economies and governments not holding much trust these days and people expecting depressions or currency collapses in the near future. It just a cheaper version of holding gold.

MisterMower 10mo ago
No, it’s a supply side issue. There aren’t as many silver only mines out there anymore, so ramping up production to meet demand is difficult. Most silver extraction is actually done in copper or gold mines. But you can’t ramp up silver production in those mines because the silver output is actually a waste product from the primary metal being extracted in those mines. Demand is rising but silver supply is relatively inelastic, resulting in the price going up.
- AngryData 10mo ago
  But where is that demand coming from? Silver prices didn't go up when we switched to silver solder. The only reason for silver to have been rising in the last few years is speculative demand because there are no new large scale applications or scaled uses that line up with price changes. Yes demand is up, but not from using that much more silver in things, but to hold onto silver as an investment or to hedge against inflation. Just like how golds industrial value is not nearly as high as its speculative value, but industrial users still have to pay the price that speculators are paying to get it.
  - jerkstate 10mo ago
    What about PVs and power electronics? My understanding is that TOPCon PVs use substantially more silver per watt than previous generations. China decided to stop exporting silver and there is currently a substantial premium for physical delivery in Shanghai vs cash settlement in COMEX..
  - pengaru 10mo ago
    In 2014, the solar sector only accounted for around 11 percent of silver demand. That rose to 29 percent in 2024. According to a research paper by scientists at the University of New South Wales, solar manufacturers will likely require over 20 percent of the current annual silver supply by 2027. By 2050, solar panel source: https://www.moneymetals.com/news/2025/12/15/silver-industrial-demand-expected-to-grow-despite-higher-prices-004551 https://www.moneymetals.com/news/2025/12/15/silver-industria...
  - MisterMower 9mo ago
    It’s probably all of these factors, but price is going up due to supply inelasticity. It’s similar to oil: demand is what it is, and even if it doesn’t fluctuate much, a refinery exploding or political instability in a producer nation can cause prices to rise by large amounts, even if supply only drops by a few hundred thousand barrels per year. In the 1980’s when the Hunt brothers tried to corner the market, households responded by liquidating their Sterling silver and other silver items. That’s ultimately why their strategy failed. Today that domestic source of supply is much smaller, contributing even more to supply inelasticity. This is more of a supply story than a demand story.
- Scoundreller 9mo ago
  Copper isn’t exactly cheap and gold definitely isn’t either, so you’d still expect those mines to ramp up production along with the associated silver. When copper or gold are cheap that’s when you wouldn’t expect those mines to step up to the plate just to address silver demand.
  - MisterMower 9mo ago
    The silver output is very unpredictable. They’re targeting areas with high concentrations of the metals they’re after, and any silver extracted during that activity is incidental. It’s not as simple as “just increase production”.
DANmode 9mo ago
Cheaper by the ounce, or cheaper meaning “undervalued by comparison”?

MisterMower 10mo ago

No, it’s a supply side issue. There aren’t as many silver only mines out there anymore, so ramping up production to meet demand is difficult. Most silver extraction is actually done in copper or gold mines. But you can’t ramp up silver production in those mines because the silver output is actually a waste product from the primary metal being extracted in those mines. Demand is rising but silver supply is relatively inelastic, resulting in the price going up.

AngryData 10mo ago
But where is that demand coming from? Silver prices didn't go up when we switched to silver solder. The only reason for silver to have been rising in the last few years is speculative demand because there are no new large scale applications or scaled uses that line up with price changes. Yes demand is up, but not from using that much more silver in things, but to hold onto silver as an investment or to hedge against inflation. Just like how golds industrial value is not nearly as high as its speculative value, but industrial users still have to pay the price that speculators are paying to get it.
- jerkstate 10mo ago
  What about PVs and power electronics? My understanding is that TOPCon PVs use substantially more silver per watt than previous generations. China decided to stop exporting silver and there is currently a substantial premium for physical delivery in Shanghai vs cash settlement in COMEX..
- pengaru 10mo ago
  In 2014, the solar sector only accounted for around 11 percent of silver demand. That rose to 29 percent in 2024. According to a research paper by scientists at the University of New South Wales, solar manufacturers will likely require over 20 percent of the current annual silver supply by 2027. By 2050, solar panel source: https://www.moneymetals.com/news/2025/12/15/silver-industrial-demand-expected-to-grow-despite-higher-prices-004551 https://www.moneymetals.com/news/2025/12/15/silver-industria...
- MisterMower 9mo ago
  It’s probably all of these factors, but price is going up due to supply inelasticity. It’s similar to oil: demand is what it is, and even if it doesn’t fluctuate much, a refinery exploding or political instability in a producer nation can cause prices to rise by large amounts, even if supply only drops by a few hundred thousand barrels per year. In the 1980’s when the Hunt brothers tried to corner the market, households responded by liquidating their Sterling silver and other silver items. That’s ultimately why their strategy failed. Today that domestic source of supply is much smaller, contributing even more to supply inelasticity. This is more of a supply story than a demand story.
Scoundreller 9mo ago
Copper isn’t exactly cheap and gold definitely isn’t either, so you’d still expect those mines to ramp up production along with the associated silver. When copper or gold are cheap that’s when you wouldn’t expect those mines to step up to the plate just to address silver demand.
- MisterMower 9mo ago
  The silver output is very unpredictable. They’re targeting areas with high concentrations of the metals they’re after, and any silver extracted during that activity is incidental. It’s not as simple as “just increase production”.

DANmode 9mo ago

Cheaper by the ounce, or cheaper meaning “undervalued by comparison”?